When starting a small business, most entrepreneurs need to establish their business bank account. To effectively stay on top of financial matters you are going to want to do this right away. That said, which are the best banks for small business? Finding the best small business bank for your company can be a bit of a challenge as there are so many options from which to choose. You will likely search through numerous bank sites, read the details of the various offers they have, and see which products and services make the most sense for your startup. Some will offer free business checking accounts while others might promote high yield savings accounts. It can be difficult to wade through the different aspects of all of these banks. Below you will find breakdowns of a few of the more popular banks for small business as you get started in your search.
Banks for Small Business
Among the largest banks in the nation, Wells Fargo for small business is a great choice. One reason is because of the branch accessibility they offer. Another is the fact that they are small-business focused and gear many products specifically for smaller firms. Wells Fargo has a variety of checking account options for business owners to consider. From their Business Choice Checking to Simple Business Checking to Analyzed Business Checking, there are accounts to serve a diverse array of needs.
For example, with Business Choice Checking you get up to 7500.00 in cash deposits per month. You also will receive 200 transactions per month and there is a monthly service fee with this plan. If you do deal in a lot of cash transactions, this plan may be the best one for you as the 7500.00 a month in cash transactions is fairly substantial.
Beyond the variety of checking account options, Wells Fargo also has other services that may be helpful for small business owners, including business savings accounts, payroll solutions as well as access to different types of business loans such as an SBA-backed loan.
Should you choose to work with Wells Fargo? While it is a good option for smaller companies, you want to read all of the fine print. That said, as noted, their branch availability is among the most widespread in the US.
Chase has the largest presence in the US as far as banks go. Nearly fifty percent of all households have a Chase account. They deal extensively with individual customers and also have a fairly extensive small business banking program. As with Wells Fargo, they also offer different levels of business checking accounts—from their Performance Business Checking to Business Complete Checking.
Chase is noted for tailoring such accounts to the different stages of a business's life cycle. Most would say that their Complete Checking is best for smaller companies. This account features a lower monthly service fee than with some other account types and up to 5000.00 in cash deposits monthly.
Beyond their checking account program for small businesses, Chase also offers an extensive line of business credit cards and is considered among the best in the market as far as this particular area. They also have payroll solutions for companies and their presence is pretty extensive with almost five thousand branches across the country.
Considered one of the best banks for small businesses, Chase should be on your list of banks that you are thinking about working with. Because they offer so many services, you can bundle many aspects of your banking needs with this one institution. Again though, as far as Chase goes, many businesses use them specifically for their business credit card program. Chase is a great bank for small business.
Capital One is known largely for its streamlined business checking account service as well as for their business credit cards. As far as checking accounts go, they offer Spark Business Basic Checking along with Spark Business Unlimited Checking. Looking at the basic account, you get unlimited monthly transactions, 5000.00 in monthly cash deposits with no fee, online bill pay options, a free business debit card, and mobile checking features.
The great thing about Capital One bank for small business is the unlimited transactions per month—this is difficult to find when it comes to business banking. If your company does tend to have a high number of transactions in a given month, this could be one to check out. Another nice feature with Capital One is their business savings account. You do have to start with a minimum deposit of 250.00
Beyond their checking accounts, Capital One does offer small businesses some other nice features, including a wide array of business card types, the ability to do all banking online, and cash flow analysis tools that can help you stay on top of your finances.
Many businesses do turn to Capital one largely for their streamlined approach to business banking and the numerous credit card offers that they have at any given time. They also have low-cost banking (lower than many others/) which if you are just starting is an important consideration.
First Union Lending
Specializing in financing solutions for small businesses, First Union offers a variety of loan programs as well as business credit card services. Their small business loans range from short-term loans to commercial real estate financing to merchant cash advances. They also offer SBA loan programs for eligible businesses.
The Orlando-based lender makes it a point to fill the gaps left by traditional lending institutions, and so even companies whose credit score is an issue can potentially get funded through First Union.
A popular choice among small businesses because of its comprehensive approach to customer service, First Union's loan program is among the most flexible and fastest in the country, with clients getting funded in as little as 48 hours. And with loans ranging from 5k to one million, they do have the money their clients need on hand. To find out more about First Union Lending call today!